Schools becoming richer at the cost of students: HC committee report

According to the inquiry report, “The school had also acquired huge fixed assets worth Rs 134.51 lakh in 2012-13, Rs 270.47 lakh in 2013-14, which had no connection with making available better facilities to students studying there.”

Not only this, according to the report, the school collected Rs 4,64,09,650 as fee for 2012-13 academic session. However, the log books show Rs 3,73,21655 as the total fee collected. There is no information of the surplus amount of Rs 9,087,995. Similar was the case in the session 2013-14 where Rs 7,852,099 was the surplus amount.

Committee found that the school has been earning an annual profit of crores from the school fee and other charges such as transportation, computer fee etc. The committee has taken a cognizance of the fact that the school, despite earning heavy profits is still charging high fees every year. The committee has recommended ‘admission fee charged from its student at the time they took admission in the next class viz. 2nd, 3rd, 4th, 5th, 6th, 7th, 8th, 9th, 10th and 12th, is also recommended to be refunded with interest of 9 % per annum.’ The report reads, “Since the fee hiked in the year 2012-13 is also a part of the fee for the subsequent year, 2013-14, the hike in fee for 2013-14 to the extent it is relatable to the fee hiked in 2012-13 ought also to be refunded along with interest rate of 9 per cent per annum.”

Committee found that the registration fee which is taken by the school during admission of a child is being taken every year from each student. The committee sought details of each source of income separately but the school did not provide them with the information.

The issue got triggered with the filing of a writ petition by the Anti-Corruption and Crime Investigation Cell, which is a registered body, the petitioner has alleged that the private educational institutions within Ludhiana and entire State of Punjab are ‘taking the parents to ransom by whimsically enhancing the school fees.’ The petition was first heard on December 24, 2009. While disposing of the petition on April 9, last year, the division bench of then Chief Justice Arjan Kumar Sikri and Justice Rakesh Kumar Jain had formed committees to look into the allegations of petitioner.

While the Punjab panel is headed by Justice Ranjit Singh (retired), Haryana’s committee is being chaired by Justice (retired) Kiran Anand Lall and Chandigarh’s committee by Justice R S Mongia (retired).

The bench had held that committees were entitled to specifically look into the aspects of how much fees increase was required by each school on the examination of records and accounts etc of these schools and taking into consideration the funds available etc at the disposal of the schools.